EMCOR Group Announces Agreement to Sell Comstock Canada
NORWALK, Conn. — EMCOR Group Inc. announced that it has entered into an agreement to sell its Toronto-based Canadian subsidiary, Comstock Canada Ltd., to CCL Equities Inc., an Ontario, Canada-based corporation. In connection with the sale, EMCOR expects to receive approximately CAD $16.9 million in payment for the shares and approximately CAD $25.5 million in repayment of indebtedness owed by Comstock to EMCOR Group Inc. CCL Equities Inc. was recently organized by certain members of Comstock management and outside investors for the purpose of acquiring Comstock.
Comstock performs mechanical and electrical construction services primarily in the health care, nuclear, and industrial markets in Canada. In 2010, Comstock generated revenues of approximately $269.3 million and operating income of approximately $0.3 million. For the first six months of 2011, Comstock had revenues of approximately $99 million and an operating loss of approximately $0.4 million.